According to a filing with the Hong Kong Stock Exchange by China's Sinopec, they will build gas pipelines for Saudi Aramco in a $1-billion deal.

Sinopec, a Chinese energy behemoth, announced on Thursday that it has reached an agreement worth $1.3 billion with Saudi Aramco to acquire and construct pipes to expand the natural gas distribution network in the Kingdom.

Sinopec International Petroleum Services Corporation, a wholly-owned subsidiary of Sinopec Oilfield Service Corporation, will be in charge of the in-country procurement and construction of Packages 6 and 7 of the Phase 3 Pipeline Project Clusters of the Master Gas System under the terms of the turn-key fixed-price contract worth $1.3 billion (5.17 billion Saudi riyals).

As per the contract, Sinopec expects the mechanical completion of the project to be completed by May 31, 2027, according to a filing with the Hong Kong Stock Exchange.

According to Sinopec, the Phase 3 Pipeline Project Clusters of Saudi Ar...